If Kiner Company issues 3,000 shares of $5 par value common stock for $70,000, the account
A) Common Stock will be credited for $15,000.
B) Paid-in Capital in Excess of Par Value will be credited for $15,000.
C) Paid-in Capital in Excess of Par Value will be credited for $70,000.
D) Cash will be debited for $55,000.

Question

Quizplus · Accepted Answer

The Common Stock account is credited for the par value of the shares issued, which is 3,000 shares x $5 par value = $15,000.

If Kiner Company Issues 3,000 Shares of $5 Par Value